Orthex - Plastic for the World

[Don_Jari]

@Farseer

So what, a lot of text but no substance.

Thank you for the feedback. This warms my heart and increases my motivation to continue writing and sharing information here on the forum.

@Farseer

That ownership information is public, so there’s no need to guess.

Indeed it is. I just haven’t come across Conficap’s listed investments anywhere before (as I’m not familiar with their investment company’s operations) and haven’t tried to dig them up previously. Now that I tried, there’s not much information available. The 2024 annual review had exactly this much, which is almost nothing.

Additionally, for me, the article itself contained a lot of new information, such as the euro amount of Conficap’s Nordic investments. If my interpretation was correct, I considered Orthex’s share to be quite large in relation to other investments. This, in my opinion, adds pressure to do something if a large part of the capital performs poorly or even negatively.

Everyone, of course, assesses how relevant this information is. However, I will state that Orthex is a company where investing involves significant owner risk for both the Toivonen and Rosenlew families, as both have over 10 percent ownership. Therefore, I believe it’s not entirely irrelevant how the company performs.

@Farseer

Coincidentally, I also know the Toivonen family slightly from my youth, and based on that, I don’t believe there will be any panic sales; instead, they will wait for a situation where a buyer can be found for the holdings at a good price.

I don’t think I’ve ever painted a picture of panic sales at any point. I don’t believe that the professional portfolio management team mentioned in the article would have a need for that.

@Farseer

Of course, if the owner’s view changes strongly to negative, then the shares might walk away very quickly.

This is precisely what worries me in this case: the company’s almost continuous underperformance and stagnation since its listing. I would venture to guess that the matter has at least been discussed within the investment team.

Now we come to how to get rid of about a 15 percent stake if and when the company continues to underperform, because I claim they won’t watch this go on until the end of the world. I can’t really think of any other way with this turnover than a block sale or some kind of corporate arrangement. And I didn’t say this would happen this quarter or next. However, the situation is complicated by Rosenlew’s over 10 percent ownership.

Now, by popular demand, I’m taking a break from this thread and the forum, so I don’t share or write anything superfluous and trivial here. Tack och adjö

[Karhu_Hylje]

I understood the point of your post, @Don_Jari, and it was a good post. I also liked your “box post” earlier. Just keep them coming. There isn’t too much discussion here, and not every message needs to be absolutely brilliant as long as it stays on topic

Regarding the matter itself, I’d say that Conficap did indeed divest from Talenom at the bottom (at least the current bottom). The Rosenlews are certainly not very eager to divest, as this is Alexander’s creation in its current form.

In my opinion, Orthex is interestingly priced now that the non-Nordic region is showing good growth figures again, and if the Nordic consumer also wakes up from this. The only thing that worries me a bit now is the potentially intensifying competition in the Nordic countries, which was dismissed in the report more as a temporary challenge, but it should probably be monitored closely.

[HH82]

Orthex Corporation, Stock Exchange Release, September 1, 2025 at 1:30 p.m.

Aurélien Chabannier has been appointed Orthex’s Sales Director for Europe and International Markets, effective today, September 1, 2025. He will become a member of the company’s Management Team and will report to CEO Alexander Rosenlew in his role.

Chabannier (born 1989) is a French national and holds a Master’s degree in Management. Chabannier joined the company in 2016 as Sales Manager for France and currently leads the business unit comprising France and Germany.

CEO Alexander Rosenlew: “We are pleased to appoint Aurélien Chabannier as the new Sales Director, with responsibility for Europe and International Markets. His excellent achievements in building and growing Orthex’s position in France have laid a strong foundation for our growth in Europe. Aurélien has demonstrated exceptional drive, market knowledge, and leadership, and I am convinced that he will play a key role in our journey towards becoming a truly European company. My warmest congratulations to him on this well-deserved appointment and best of luck in his new role.”

[Karhu_Hylje]

Kesko’s July and August sales reports have indicated growth in consumer goods sales in Citymarkets. One cannot draw a direct line to Orthex’s sales, but in my opinion, it indicates that consumers are showing renewed interest in categories significant to Orthex. For comparison, the same category grew in Q2 in April and declined in May and June. Let’s hope that the recovering housing market will also encourage people to acquire more quality storage solutions again.

[Sijoittaja-alokas]

@Antti_Leinonen has written a comprehensive and good article about Orthex.
In the second quarter, Orthex’s net debt decreased to 20 million euros. Orthex reduced its debt by three million euros compared to the previous year. Net debt is 1.4 times the EBITDA, clearly below the company’s target. If profitability remains at its current level or improves, there is ample room for an acquisition on the balance sheet.

An acquisition is hardly expected by the markets and analysts. Several competitors larger than Orthex have performed poorly, so Orthex might find acquisition targets among smaller companies. In acquisitions as well as growth investments in general, CEO Alexander Rosenlew emerges as a thoughtful leader who carefully weighs the input-output ratio. The possibilities of an acquisition have been speculated ever since the IPO.

Kansainvälinen kasvu on edullinen optio Orthexissa

[Karhu_Hylje]

Fresh talk around Orthex:

Orthex: Välivuosi sijoitustarinassa - Inderes

[Don_Jari]

Rosenlew started leading Orthex 15 years ago, long before the company’s stock market listing in 2021. Rosenlew says he started investing in the company right at the beginning of his tenure and has gradually increased his position. Now his ownership amounts to nearly ten million euros.

In addition to the long tenure, the large ownership is due to long-term investing.

”Perhaps a small anecdote: I have never sold a share. I have only been on the buying side,” Rosenlew says.

He does not see it as a problem that he is currently the company’s second-largest owner with over an 11 percent stake, although he admits that the owner’s hat must be separated from the CEO’s hat.

In his opinion, leadership becomes more owner-oriented when the CEO’s long-term interest is to increase the value of the share and the company.

”Not for the next quarter, but for the long future. Quarterly scrambling will be eliminated.”

Although Rosenlew wants to separate the roles of CEO and owner, the cooperation between the board and the CEO gains an additional flavor from Rosenlew’s strong ownership. He feels that as a major owner, he has expectations for the board, and he wants the board to bring expertise to the company that increases its value.

”In board meetings, I behave just like a regular CEO,” Rosenlew estimates, however.

”Omat pekonit peliin” – Näin Helsingin pörssiyhtiöiden toimitusjohtajat...

There’s certainly a lot of talk about increasing value in many places and by many people. Well, the fact remains that Alex is close to the top 3

If Orthex performed a little better, who knows, he might even get there someday

[Meh]

That certainly speaks to a strong and long-term commitment in many ways. Did those three above even personally buy shares in the company they led?

[Critter1]

Jouko Pölönen was at least elected CEO of EQ this year and immediately wanted to buy a good amount of shares himself.

[Don_Jari]

Orthex is looking for a Sales Manager for Finland and the Baltics

https://careers.avila.fi/en/jobs/6680325-sales-manager-finland-baltics-orthex-group

I think I mentioned some time ago, in connection with a map, that the company doesn’t have much presence in Southern Europe. Well, soon there will be at least a sales manager and a sales team in the Baltics, if I understood correctly.

Excerpts from the job advertisement:

Orthex is looking for a results-driven and hands-on Sales Manager to lead and grow its business in Finland and the Baltic countries.

This is a key commercial and leadership role responsible for market development, key account relationships, and team leadership. The position offers an opportunity to manage Orthex’s second-largest market and drive new growth in the Baltic countries.

The company’s strong position in Finland and its ambitious European growth plans offer an exciting opportunity to concretely influence Orthex’s future. As a Sales Manager, you will lead one of Orthex’s key markets and play a central role in expanding the business in the Baltics – a region with significant growth potential.

@Thomas_Westerholm could ask a bit more about this in the Q3 earnings info.

[Karhu_Hylje]

Unfortunately, I rather see a negative scenario here, that the Finnish sales manager has just been fired. The Baltics probably belonged to the Finnish sales manager before? Let’s just hope that the slight loss of “foothold” seen in Q2 has not continued in Q3 in Finland.

He seems to be in that role currently: https://www.linkedin.com/in/sami-lakkakorpi-1599085?originalSubdomain=fi

[Karhu_Hylje]

@Karhu_Hylje

Unfortunately, I rather see a negative scenario here, that the Finnish sales manager has just been fired. Has the Baltics belonged to the Finnish sales manager before? Hopefully, the slight loss of “foothold” seen in Q2 has not continued in Q3 in Finland.

He is probably currently in that role: https://www.linkedin.com/in/sami-lakkakorpi-1599085?originalSubdomain=fi

Let’s return to this to say that it is more likely a natural change and therefore nothing more dramatic is involved.

[Sijoittaja-alokas]

Thomas has given his preliminary comments as Orthex publishes its Q3 results on Thursday.

• After the fluctuating revenue development in the early part of the year, our attention is particularly focused on the revenue for the review period. Similar to the beginning of the year, we expect invoiced sales in the Nordics to contract slightly, but healthy growth from export markets in line with Q2. We will go through the interim report on Thursday in a live earnings webcast starting at 8:55 AM.

Orthex Q3’25 -ennakko: Näkyvyyttä vientimarkkinoiden kasvun kulmakertoimeen -...

[Pieni_siivu]

A Small Blunder and a Recall

Löytyykö sinulta tämä pastakauha? Lopeta käyttö heti

[Sijoittaja-alokas]

Attention!

The earnings live stream starts at 8:55 AM led by Thomas!

[Jukka7]

July-September 2025

• Invoiced sales were EUR 23.6 million (23.3)

• Revenue grew by 2.5% and was EUR 23.4 million (22.8)

• Adjusted EBITDA was EUR 4.5 million (4.0)

• Adjusted EBITA was EUR 3.3 million (2.9), or 14.3% of revenue (12.6)

• Operating profit was EUR 3.3 million (2.8)

• Cash flow from operations was EUR 5.9 million (5.7)

• Earnings per share, undiluted, were EUR 0.14 (0.10)

January-September 2025

• Invoiced sales were EUR 66.7 million (67.9)

• Revenue decreased by 1.4% and was EUR 64.9 million (65.9)

• Adjusted EBITDA was EUR 10.4 million (10.5)

• Adjusted EBITA was EUR 6.8 million (7.2), or 10.4% of revenue (10.9)

• Operating profit was EUR 6.8 million (7.1)

• Cash flow from operations was EUR 9.8 million (9.4)

• Net debt / adjusted EBITDA was 1.0 (1.3)

• Earnings per share, undiluted, were EUR 0.26 (0.24)

Orthex Corporation: Interim Report January-September 2025 | Kauppalehti

[Karhu_Hylje]

A strong report from Orthex, exceeding forecasts. Growth in the rest of Europe was somewhat subdued, but it should be noted that the comparison period was relatively strong, with the Rest of Europe growing by +20% at that time. Otherwise strong performance.

[Arvotonsijoittaja]

Adjusted EBITA-% a good jump from 12.6% —> 14.3%. Reduced raw material prices have been monitored and expected since the beginning of the year, waiting for them to reach the margins. Well, finally there seem to be such signs

Hopefully, the margin level will continue at least at the current level in the future, and not just remain a one-quarter jump.

[TTTT]

Well, well… The comments on the webcast probably deflated the “surge” hyped by Kauppalehti. If you analyze Orthex’s stock price, it has been in a continuous dive since 2021, and since summer 2024, it’s been soaring downwards.

At first glance, the numbers looked good, but apparently, only intentionally stronger juice was squeezed out of the lemon. Financial targets are well behind schedule, and really the only thing pulling its weight is storage boxes. Apparently, the berry-picking folk were no longer renewing their freezer boxes at the same rate as before, which made the kitchen figures look very ugly. When it came to improving profitability, what stuck in my mind were the very low investments and the absence of staff bonuses (for a good reason, of course, if the performance is what it is), which also doesn’t seem like an “optimal” way to be more profitable than what we’ve recently become accustomed to.

A couple of new product innovations and learning international sales – I’d say the market reacted completely rationally to this announcement. Let’s check back in three months…

@Jukka7

In my opinion, the numbers still look quite good, especially considering they were achieved at a time when domestic consumer confidence was at rock bottom.

Indeed, there was nothing wrong with those numbers. The stock market looks ahead, and Orthex was unable to indicate anything in the webcast that would suggest the company’s bottom had been passed. One can bypass that (the bottom) by promising better execution or significant growth-oriented measures. And those were conspicuously absent.

[Jukka7]

Over a 10% increase in a month; considering that, I thought the morning’s price spike was quite unreasonable.

To me, the numbers still look quite good, especially considering they were made at a time when domestic market consumer confidence has been at rock bottom.